D.R. NO. 81-5

STATE OF NEW JERSEY

PUBLIC EMPLOYMENT RELATIONS COMMISSION

BEFORE THE DIRECTOR OF REPRESENTATION

In the Matter of

ESSEX COUNTY WELFARE BOARD,

Public Employer,

-and-	Docket No. RO-78-191

ESSEX COUNTY WELFARE BOARD,

PUBLIC EMPLOYEES SUPERVISORS

UNION, LOCAL 723, I.B.T.,

Petitioner.

Appearances:

For the Public Employer,

Grotta, Glassman & Hoffman, attorneys

(Thomas J. Savage of counsel)

For the Petitioner,

Goldberger, Siegel & Finn, attorneys

(Howard A. Goldberger of counsel)

DECISION AND DIRECTION OF ELECTION

On June 2, 1978, a Petition for Certification of Public Employee Representative was filed with the Public Employment Relations Commission (the "Commission") by the Essex County Welfare Board, Public Employees Supervisors Union. Local 723, I.B.T. (the "Union") seeking to represent all Field Office Supervisors employed by the Essex County Welfare Board (the "Board"). The Board objected to the [counduct] conduct of an election among these employees, asserting that they are "managerial executives" as defined by the New Jersey Employer-
Employee Relations Act, N.J.S.A. 34:13A-1 et seq. (the "Act"), and are thus excluded from the rights of self-organization and collective negotiations granted to public employees by the Act.

Pursuant to a Notice of Hearing, a hearing was held before Commission Hearing Officer Dennis Alessi on October 23, 1978, January 27, 1979 and March 29, 1979, at which all parties were given the opportunity to examine and cross-examine witnesses, to present evidence and to argue orally. Both parties waived the right to file post-hearing briefs.

The Hearing Officer issued his Report and Recommendations on September 21, 1979, a copy of which is attached hereto and made a part hereof. On November 5, 1979, having received an extension of time, the Board filed exceptions to the Hearing Officer's Report.

The undersigned has considered the entire record herein, including the Hearing Officer's Report and Recommendations, the transcript, the factual stipulations, the exhibits and the exceptions, and on the basis thereof finds and determines as follows:

1. The Essex County Welfare Board is a public employer within the meaning of the Act, is the employer of the employees who are the subject of this Petition, and is subject to the provisions of the Act.

2. The Essex County Welfare Board, Public Employees Supervisors Union, Local 723, I.B.T. is an employee organization within the meaning of the Act and is subject to its provisions.

[4] 3. The Board asserts that the above employees are managerial executives, a contention which the Union disputes.

[5] 4. The Hearing Officer concluded that the Field Office Supervisors are not managerial executives within the meaning of the Act and recommend that an election be conducted in the petitioned-for unit.

[6] 5. The Board has excepted to the Hearing Officer's findings of fact and conclusion of law. Specifically, the Board contends that : (1) the Hearing Officer failed to apply PERC precedents such as In re County of Union, P.E.R.C. No. 48 (1970), which would have resulted in a contrary decision; (2) the Hearing Officer failed to properly utilize the statutory definition of managerial executive as set forth in the Act; and (3) the Hearing Officer misunderstood the nature of the Federal and State constraints, in that the constraints are not sufficient to remove Field Office Supervisors from managerial executive status. Furthermore, the Board excepts to the Hearing Officer's finding that the employees are not managerial executives because: (1) the effectively recommend hiring, firing and transfer to employees; (2) they effectively recommend general policy considerations to the Welfare Division Director; and (3) they are responsible for implementing existing policies, and exercise independent judgment in effectuating such policies.

Having reviewed the entire record including the Board's exceptions, the undersigned adopts the Hearing Officer's findings of fact and recommended conclusions.

The Board's eight field offices are responsible for delivering financial assistant and social services to Board clients. Each office is headed by a Field Office Supervisor under whom there are two to three Assistant Field Office Supervisors. The Assistants in turn supervise two to five Income Maintenance and Service Supervisors, who directly oversee the line staff. The Field Office Supervisor reports directly to the Administrative Supervisor for Income Maintenance and the Administrative Supervisor of Service. The Administrative Supervisors, in turn, report to the Deputy Director, the Director and the Board itself. Thus, the Field Office Supervisors are the fifth level on the Board's organizational chart.

The Board's policy is to a great extent governed by Federal and State regulations. The Board has limited discretionary authority in deciding how to implement these regulations.

The Field Office Supervisors are responsible for maintaining the day-to-day operations of the field offices, i.e. coordinating the dispensing of services to clients. They are restricted in the amount of discretion they have. Regulations are promulgated and changed by Federal and State agencies. The Director issues memos instructing the Field Office Supervisors in implementing these directives. While the Field Office Supervisor has discretionary authority to develop his or her own assignment procedure to ensure that a directive is efficiently carried out by staff, the Administrative Supervisor closely monitors the Field Office Supervisor's plan.

The Field Office Supervisors have little input regarding the preparation of the budget. They merely report to the Deputy Director the projected needs for supplies and equipment for the office. These recommendations are often not followed by the Board.

The Field Office Supervisors have no authority to hire or terminate employees, but they do have some discretionary authority in developing intra-office work assignments to ensure efficient performance by the staff. They can only alter an employee's duties or work location on a limited or emergency basis. Any permanent change in an employee's duties must be approved by the Director. The Field Office Supervisors have no authority to impose disciplinary action beyond a reprimand. When an Assistant Field Office Supervisor recommends discipline for an employee, the Field Office Supervisor has discretionary authority to deny the recommendation as non-meritorious or recommend to the personnel office that the employee receive some type of disciplinary action. Often, their recommendations are not followed. As to other personnel matters, the Field Office Supervisors merely enforce Board policy, but have little or no input as to the development of such policy.

Under N.J.S.A. 34:13A-3(f), managerial executive is defined as: ". . . persons who formulate management policies and practices, and persons who are charged with the responsibility of directing the effectuation of such management policies and practices. . ."1/

In a recent matter, the undersigned developed standards for examining whether an employee is a managerial executive within the above statutory definition.2/ These standards require an examination of: (1) the specific functions and responsibility of the employee involved; (2) the relative position of that individual in the employer's organizational hierachy; and (3) the extend of discretion allocated to that individual in his/her employment.

In the Montvale decision, supra, policy in a public employment context was defined as "...the development of particular sets of objectives of a governmental entity, designed to further the mission of the agency ... Those who formulate policy are those who select a course of action from among the alternatives and those who substantially and meaningfully participate in the essential processes which result in the selection of a course from the alternatives available." (citation omitted). Also, "Those chosen for 'directing the effectuation' of policy must necessarily be empowered with a substantial measure of discretion in deciding precisely how the policy should be effectuated." (emphasis added).

The undersigned concludes that the Field Office Supervisors are not managerial executives within the statutory definition. They have little, if any, input into the formulation of management policy, and although responsible for effectuating management policy, are not allocated a substantial measure of discretion in this regard. The facts which the Board notes in its exceptions tend to establish that the individuals in question exercise merely supervisory responsibilities (albeit at a high level), as defined in N.J.S.A. 34:13A-5.3, but not the responsibilities of a managerial executive.

Therefore, for the above reasons, the undersigned determines that the Field Office Supervisors are not managerial executives and constitute an appropriate collective negotiations unit. Accordingly, the undersigned directs an election in the petitioned-for unit. The undersigned finds that the appropriate unit is: all Field Office Supervisors employed by the Essex County Welfare Board, but excluding non-supervisory employees, managerial executives, confidential employees, professional and craft employees and police within the meaning of the Act.

Pursuant to N.J.A.C. 19:11-9.6, the Public Employer is directed to file with the undersigned and with the Essex County Welfare Board, Public Employees Supervisors Union, Local 723, I.B.T. an election eligibility list consisting of an alphabetical listing of the names of all eligible voters together with their last known mailing addresses and job titles. In order to be timely filed, the eligibility list must be received by the undersigned no later than ten (10) days prior to the date of the election. A copy of the eligibility list shall be simultaneously filed with the Essex County Welfare Board, Public Employees Supervisors Union, Local 723, I.B.T. with statement of service to the undersigned. The undersigned shall not grant an extension of time within which to file the eligibility list except in extraordinary circumstances.

Those eligible to vote shall vote on whether or not they desire to be represented for the purpose of collective negotiations by the Essex County Welfare Board, Public Employees Supervisors Union, Local 723, I.B.T.

The exclusive representative, if any, shall be determined by the majority of valid ballots cast by the employees voting in the election. The election directed herein shall be conducted in accordance with the provisions of the Commission's rules.

BY ORDER OF THE DIRECTOR OF

REPRESENTATION

____________________________

Carl Kurtzman, Director

DATED: August 18, 1980

Trenton, New Jersey